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<div width="830%" class ="TITLEFORM">GOVT APPROVALS</div>
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<p>Foreign Direct Investment policy of the Government of India is to attract and promote productive Foreign Direct Investment (FDI) from nonresidents in activities which significantly contribute to industrialization and socio-economic development. FDI supplements the domestic capital and technology.</p><br>


<p>The Government of India has set out the policy which they proposed to peruse in the Industrial field in the Industrial Policy Resolution dated 6th April 1948. Thereafter in the Industrial Policy Resolution dated 30th April 1956 it is stated that the Prime Minister, in his statement in Parliament on 6th April, 1949, has enunciated the policy of the State in regard to foreign capital. It is, therefore, not necessary to deal with these subjects in this resolution.</p><br>

<p>From the year 1980, the resolution was named as Industrial Policy Statement. The policy laid the foundation for an increasingly competitive export base and for encouraging foreign investment in high-technology areas. The Industrial Policy Statement dealt with licensing and other issues. Over a period by 2003, the Government titled the document as Foreign Investment Policy. In actual practice, Industrial Policy Statement, Foreign Direct Investment and Foreign Investment Policy has been used interchangeably. </p><br> 

<p>The Consolidated FDI policy is issued by the Department of Industrial Policy and Promotion (DIPP) which is under the Ministry of Commerce and Industry. In the said policy, it is explicitly stated when approvals are not required.  In otherwords, other investments would require approval from either Foreign Investment Promotion Board or Department of Industrial Policy and Promotion. This is covered in the article in this section in more detail.</p><br>

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